BlackRock urges the OCC not to cap tokenized reserves.



BlackRock is urging the OCC not to impose a cap on tokenized reserves in the implementation rules for the GENIUS Act. The firm argues that risk should be judged by asset quality, duration, and liquidity, not by whether those assets are used on blockchain rails.

The restriction could affect the roughly $2.6b BUIDL fund, which backs more than 90% of the reserves for Ethena’s #USDtb and Jupiter’s #JupUSD. For the market, this is an important signal: the biggest players are now openly defending tokenized products and pushing back against tougher treatment just because of the blockchain wrapper.

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